Yes, it doubles the lots, which is just the purpose of a reduced margin. Zorro does not close out trades, it stops trading when the equity gets dangerously close to the used margin.

So in this case, 1/2 the margin cost * double the lots = same used margin - i.e., no change.

The issue here is that due to ESMA the broker is imposing a new, more strict definition of "dangerously close" as well as closing trades when that happens.

I gather Zorro has nothing built-in to accomodate this, correct?

Thanks.

I suppose this is a normal practice of brokers called "Margin Call". Zorro can simulate it.